Looking More Black and White

After a strong open this morning, gold, silver, and the precious metals miners have faded most or all of those gains. 

I have been reticent to get involved in that complex of late, after trading it consistently in recent years for quick rallies and on casino downdraft in what is still a long, sloppy, sideways period of consolidation in established bear markets for the precious space. 

In particular, the U.S. Dollar firming up on the ETF's 50-day moving average, seen below, looks to be flexing that stereotypical inverse correlation of "Dollar up, commodities down."

Of course, it does not always work out that way. But when it does seem to be correlating tightly, we should certainly take note as we are seeing today.